London FinTech announces direct debit launch

Charlie Spargo's picture

TransferWise is now allowing UK and EU users to pay bills and subscriptions anywhere using its new direct debit service.

It means there is no longer the necessity to have a local bank account when setting up direct debit payments anywhere in the UK and Europe. The service will be free to set up and no subscription fees or extra charges will be implemented. 

A TransferWise account now enables users to check active direct debits, get notifications for upcoming patments, as well as for when balances are running low. An auto-convert feature means you can pay a direct debit in more than 50 global currencies.

The system will also adapt to balance changes - and if one currency balance has low funds, the payment will convert to the next cheapest currency at a mid-market rate.

Lars Trunin, Head of UK Product at TransferWise, said: “We’re on a mission to help people manage their money more conveniently and cheaply across borders, no matter where they live. That’s why we’re really excited to be able to bring the convenience of borderless direct debits to our global customers paying bills in the UK and EU.

“Direct debits have traditionally been a feature reserved for domestic banking with high street providers notoriously charging customers for refused payments or worse still issue payments through unauthorised overdrafts, resulting in high interest charges for customers.

“Now with the TransferWise account, international customers can benefit from the convenience of this local banking feature and if there’s not enough money for a payment, we’ll let you know you need to add to your balance, so you’ll never be caught out.”